Asset Management Stan Kaczmarczyk April 16, 2007 Draft 1.0 4/4/07 v1.1 (NOTE: Oct 29, 2008: original slides #8, 11, 20, 22, 23 and 24 deleted to condense for FedITAM website)

Office of Governmentwide Policy In December 1995, GSA created the Office of Governmentwide Policy (OGP) to consolidate its policy functions into a single organization. U.S. General Services Administration Public Buildings Service Federal Acquisition Service Office of Governmentwide Policy

Office of Governmentwide Policy OGP's policymaking authority covers the areas of: Real Property Personal Property Travel and Transportation Information Technology Strategy Regulatory Information Federal Advisory Committees

Office of Governmentwide Policy OGP’s sphere of influence extends to government activities related to acquiring, using, disposing, and tracking Federal property and services including: The Federal Government's real property inventory – 3.8 billion square feet of space with an estimated replacement value of almost $1.4 trillion. Over 600,000 vehicles and 1,460 aircraft owned or leased by Federal agencies. $12.3 billion in annual travel expenditures. The disposal of over $21 billion of Federal excess personal property each year.

Real Property PMA Initiative Lack of accountability within the Federal Government Lack of useful information within Federal agencies Abundance of underused or unneeded Federal property Excessive cost to Federal Government Lack of necessary tools and incentives for agency disposal of underused properties Over the past decade, the Federal government has continued to face significant challenges managing its real property portfolio:

The President signed EO 13327, Federal Real Property Asset Management in February 2004 –Created the Federal Real Property Council (FRPC)  FRPC develops performance measures and guidance for agency’s asset management plans –Established Senior Real Property Officer (SRPO) role  SRPOs create agency asset management planning process –Mandated the creation of a centralized real property database  GSA is responsible for developing and managing the database of assets And…‘Real Property’ was added to the President’s Management Agenda Real Property PMA Initiative

FRPC Goals: Increase agency accountability for asset management Compare and benchmark assets Improve decision-making with accurate and reliable data Dispose a minimum of $15 billion in unneeded real

Software Asset Management The purpose of the Software Asset Management (SAM) project is to provide guidance and tools for agencies to collect and maintain information to manage the full life-cycle of software as an important asset. The basic premise of SAM is to: Know what you buy Buy only what you need Manage the life cycle of COTS assets Desired outcome of a successful SAM program: a)Reduce the total cost of ownership of software assets 1.Better software prices 2.Reduce maintenance and initial license costs 3.Decrease fees through competitive replacement 4.Better software asset accountability 5.Aggregation of business processes b)Accurate vendor payments c)Faster disaster recovery d)Improve version and patch management thus security e)Software license compliance

Software Asset Management Initiatives: GSA and an Inter-Agency Advisory Committee are developing a software asset model and architectural framework for managing Commercial Off-The-Shelf software. GSA has conducted agency interviews and surveys of the marketplace –Data calls indicate that agencies do not have good enterprise-wide software assets management –Industry currently does not provide complete tools needed provide software life-cycle management

Software Asset Management Challenges to Establishing Effective Software Asset Management: Reason it is not being already done – it is very hard Commercial sector does not do it well either Data standards for feeder systems do not exist Overall SAM Enterprise Frameworks do not exist Implementing policy that integrates multiple key business processes Dealing with an intangible asset that has many different terms of use depending on the vendor, dealing with each vendor requires a unique approach Try not to create a process that requires excessive overhead for agencies

Personal Property The Federal Government owns personal property assets valued over $1.2 Trillion. Policies and Best Practices originating from GSA/OGP govern how these assets are managed.

Personal Property Initiatives Governmentwide Performance Measures and Desired Outcomes Evaluation and Compliance Continuing collaboration with federal and non-federal stakeholders Identifying Property Management “Best Practices” Exchange/Sale

Property Management Regulations FleetFMR AircraftFMR GeneralFMR (Published 3/7/07) UtilizationFMR DonationFMR SaleFMR Exchange/saleFMR HazardousFPMR (FMR Pending) Abandoned/forfeitedFMR Foreign GiftsFMR Supply/ProcurementSubchapter E (FPMR) (FMR to 28 Pending)

Fleet Management Federal Automotive Statistical Tool (FAST) –Automated reporting to support: GSA’s Federal Fleet Report Energy’s alternative fuel reports OMB’s annual A-11 budget request (Motor Vehicles) Federal Aircraft Interactive Reporting System –Automated reporting to support: GSA’s Status of Federal Aircraft Programs

Fleet Management Vehicle Allocation Methodology Agency-developed matrix to show when vehicles are needed based upon agency mission Addresses mission, passenger and cargo capacity, operating location, fuel economy, and alternative fuel mandates Right sizes fleet – Eliminates excess and under-utilized vehicles Smallest vehicles to perform mission

Fleet Management Fleet Management Information Systems Most agencies do not use appropriate software systems to manage fleets. New regulatory requirement that all agencies have a Fleet MIS to manage the complete motor vehicle lifecycle, including: –inventory, acquisition, utilization, maintenance, and disposal.

Fleet Management Fleet Capital Asset Planning Fleet Capital Asset Planning Guide. –Assist agencies in developing fleet portfolios to achieve mission goals at the lowest risk and cost. –Assist agencies in justifying current fleets and planning for fleet replacement through life-cycle cost analysis. –Provide a base-line inventory and life-cycle costs in Fiscal Year 2008.

Federal Asset Sales Personal Property Sales Centers Real Property Disposal Agencies GSA USDA TREASURYVA JUSTICEHUD OTHERS – FY 2007OTHER AGENCIES